While a trade deficit was anticipated, in line with the usual seasonal trend, January’s R13.5-billion deficit is the second-largest in the past ten years - second only to the massive R17.4-bn deficit recorded for January 2009.
This deficit was compared with a surplus of R4.7-b in December, the SA Revenue Service (Sars) said yesterday (Wednesday), while the trade deficit was at R4.9-bn in January 2011.
Imports rebounded strongly in January, while exports tumbled – a complete reversal of December’s pattern. Exports decreased by R8.98-bn (-14.3%) to R54.0-bn and imports increased by R9.23-bn (15.8%) to R67.5-bn.
Year-on-year (y/y) growth in January 2012 reflects a similar pattern of import growth outstripping export growth. Over the period, imports have grown by 35.9% while exports have only increased by 20.7%.
The deficit was mainly due to decreased exports of precious and semi-precious stones and metals; vehicles, aircraft and vessels; and machinery and electrical appliances; and increased imports of machinery and electrical appliances; original equipment components; and products of the chemicals or allied industries.
A regional breakdown of exports reveals a sharp drop-off in exports to Africa in January (-22.6%), followed by America (-15.0%), Oceania (-15.1%) and Asia (-10.9%). Curiously, despite the economic slowdown, exports to Europe eased by a modest 2.9% in January.
